I want to default on my mortgage in Illinois. I owe $252,000 on a home valued at $180k to $200k. We tried but cannot afford the $3000/mo mortgage.

Your problem is clear, but the resolution is not. It may be that you can stay in the property, cease making payments, have a foreclosure filed, and then sell the home via short sale.  It may be that, based on the medical debts and recent work issues, a bankruptcy may be a viable option.  This would avoid any deficiency (or tax consequences), allow you to reside in the property until the conclusion of any foreclosure.  There may be an option to modify as well as short sale options and a deed back to the bank. While relocation is an option, unless the lender accepts a deed in lieu of foreclosure, the property will need to proceed through foreclosure before title is transferred.  Your vacating would, therefore, not reduce your obligation on the loan and may have consequences with association dues, yard maintenance and the like.  Additionally, you would be paying money to live outside of a home for which no mortgage payment would be made.  With finances being constrained, this may not be the best option for your household. The suggestion is for you to assemble all of your financial information and meet with an attorney that is experienced in both foreclosure and bankruptcy.  You may find that a "fresh start" via bankruptcy would be your best option.  It may be that would be an option at a later date.  Other options, such as deeding the property back to the lender (i.e. a deed in lieu of foreclosure)  or seeking a sale via a realtor could be reviewed. In short, you would gain the legal information you need to make a knowing and informed decision that best serves you and your family.  There are a number of different potential solutions to your situation.  The key is to determine which is the best for you personally.   For any such decision, the input of an attorney would be invaluable.  The search for such an attorney can be done via the internet and a review of websites.  You can also contact your local county bar association at it may have a referral program that will put you in touch with a local attorney well versed in such matters.